The government through the State Department of Diaspora Affairs in collaboration with the Nakuru County Government, is setting up a Business Process Outsourcing (BPO) center, that will help create jobs for the unemployed youths and boost the local economy.
The Director and Head of the Skills and Expertise Division at the State Department of Diaspora Affairs, Ms. Irene Karari explained that the Business Process Outsourcing center aims at initiating various outsourcing services, including customer support, data processing, and back-office support, to international clients.
She said the initiative will create jobs and boost the local economy, contributing to reduced unemployment and increased disposable income in the devolved unit.
Ms. Karari said the government recognizes the potential of the BPO sector and is actively supporting its growth through initiatives like Ajira Digital, which aims to connect young people with online jobs.
She said the BPO industry in Kenya was experiencing rapid growth, with revenue projected to reach 1.3 billion dollars by 2027, a growth she said was being driven by factors like government support, strong ICT infrastructure, and a young and skilled workforce.
Ms. Karari said once operational, the BPO center will provide young people with skills for digital employment, enabling them to offer outsourced services such as customer relations and marketing, in addition to providing a space and essential equipment for skilled youths to undertake remote jobs sourced from international markets.
“Beyond offering employment opportunities, the center will serve as a vital skilling ground for individuals seeking to enter the remote work landscape and will also function as an innovation hub for entrepreneurs,” she stated.
While indicating that the initiative aligns with Kenya’s broader strategy to become a regional BPO hub, leveraging its skilled workforce and strategic location, Ms. Karari explained that the center would also facilitate communication and collaboration with clients in North America, Europe, and Asia Pacific.
She disclosed that the center, which is also a joint venture with FOWL-QHALA Limited, aimed at leveraging Kenya’s growing diaspora remittances, which have become the country’s primary foreign exchange earner.
The Director spoke at the Nakuru County headquarters when she held deliberations with Deputy Governor David Kones and Program Manager at FOWL-QHALA Limited Ms Pauline Busisa.
Business Process Outsourcing or BPO, involves companies delegating non-core business functions to external professionals, allowing them to focus on their core activities and potentially reduce costs.
BPO involves companies outsourcing core business support operations, such as IT services, tech support, and sales, to external professionals. By delegating these functions, businesses can streamline their operations and enhance efficiency.
The Director disclosed that the Ministry of Foreign and Diaspora Affairs, had already signed a Memorandum of Understanding with a German company, a partnership she said will directly link Nakuru County with opportunities for skilled individuals, particularly in the tech sector, including roles for software engineers, Artificial Intelligence (AI) experts, among others.
Ms Karari was happy that Kenya had a growing pool of skilled and educated young people who are well-suited for BPO roles adding that the center will leverage these skills to provide high-quality outsourcing services.
Deputy Governor David Kones explained that the BPO center will focus on digital skilling, digital employment, and digital entrepreneurship through equipping the youth with the necessary skills for digital employment and entrepreneurship.
He said the initiative aims at making Nakuru a leading county in digital skilling, employment, and entrepreneurship.
He added that the project would enhance operational efficiency for businesses, create employment opportunities, and contribute to the region’s economic growth.
The deputy governor said the collaboration between the national and county governments and their partners signifies a concerted effort to empower the youth and contribute to their economic wellbeing through innovative digital solutions.
He said that beyond financial benefits, the BPO initiative promises social impact, including poverty reduction, skills development, women empowerment, and fostering technological innovation in the county.
Kones indicated that the initiative aligns with the Bottom-Up Economic Transformation Agenda to develop Kenya as a BPO hub, with a focus on skills development, infrastructure, and attracting global investors.
He noted that Kenya has the potential to become a major BPO hub in Africa due to its English-speaking workforce, relatively low labor costs, and growing IT infrastructure.
By Esther Mwangi
